Google Is Ditching CrowdStrike Stock. Should You?

CrowdStrike (CRWD) shares are inching down in morning trading on Thursday after a securities filing confirmed Alphabet (GOOGL) (GOOG) has divested its entire stake in the cybersecurity giant. 

The tech titan has been trimming its position in CrowdStrike this year, having sold 353,665 of its shares in the first quarter. In Q2, it unloaded the remaining 74,230 CRWD shares as well. 

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CrowdStrike stock has pulled back rather significantly in recent weeks but is still up nearly 50% versus its year-to-date low in March.   

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Why Alphabet’s Filing Isn’t Negative for CrowdStrike Stock

Alphabet’s decision to pull out of CRWD stock isn’t necessarily bearish for the cybersecurity stock.  

According to Gene Frantz, general partner at Alphabet’s independent growth fund, CapitalG, via which the company held its stake in CrowdStrike, the fund retains conviction in cybersecurity firm’s leadership and its long-term potential. 

Frantz’ remarks suggest the divestment likely reflects portfolio rebalancing or liquidity needs rather than a loss of conviction. 

In fact, a blockbuster rally in CrowdStrike shares in the trailing 12 months confirms Alphabet’s exit marks the end of a successful investment cycle, not a judgement on future performance. 

Jim Cramer Says CRWD Shares Could Rally to $1,000

Note that CrowdStrike stock has soared nearly 400% over the past five years. Still, famed investor Jim Cramer recommends sticking with it as it’s not done pleasing its shareholders just yet. 

In a recent segment of Mad Money, the former hedge fund manager even signaled a possible surge in the cybersecurity stock to $1,000. 

“You have the best. Take out your cost basis, and let the rest run,” he told a caller in late July. 

Earlier this year, CrowdStrike acquired Flow Security, expanding capabilities in data observability and governance, which adds up to list of reasons to own CRWD shares in the second half of 2025. 

CrowdStrike Remains a Buy-Rated Stock Among Wall Street Analysts

While not nearly as bullish as Cramer, Wall Street firms remain constructive on CrowdStrike stock as well. 

The consensus rating on CRWD shares currently sits at “Moderate Buy” with the mean target of roughly $484 indicating potential upside of more than 11% from here. 

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On the date of publication, Wajeeh Khan did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.